UK's Huawei 5G ban brought forward to September 2021
Daniel Harries
Chinese tech giant Huawei is one of the world's biggest makers of smartphones and mobile network equipment. /AP Photo/Mark Schiefelbein

Chinese tech giant Huawei is one of the world's biggest makers of smartphones and mobile network equipment. /AP Photo/Mark Schiefelbein

 

British telecommunication firms must not install any new Huawei 5G kits after September 2021, the UK government said on Monday, in an acceleration of its strategy to eradicate the Chinese manufacturer's products from UK networks. 

The industry had previously been working on a timetable that allowed the sale of Huawei equipment until the end of 2020 and the use of it until 2027, when the government has ordered that it should all be removed. The 2021 deadline follows lobbying from the U.S. and pressure from Conservative members of parliament, who claim the firm poses security risks, an accusation Huawei has repeatedly denied.

The telecoms bill, which will legislate for the changes, will have its second reading in the House of Commons on Monday. The new laws will be the second time this year that Boris Johnson's Conservative government has made an about-turn on its Huawei position, creating confusion and generating costs for the UK telecoms industry.

 

 

Huawei said last week it was disappointed Britain was looking to exclude it from the 5G roll-out, following the publication of new laws that could hand British firms fines of 100,000 pounds ($133,140) if they break the ban.

Jeremy Thompson, Huawei UK vice-president, said, during a webinar held by the company earlier this month, that the ban will lead to "a job-creation black hole and digital divide" in the country.

A spokesperson for Huawei, Ed Brewster, said the decision was "politicized" and was "bad news for anyone in the UK with a mobile phone."

China has previously voiced strong opposition to the UK's decision. Chinese Foreign Ministry spokeswoman Hua Chunying stated the decision was driven by the politicization of commercial and technological issues and not by national security, following the UK's about-turn in July.

China's Ministry of Commerce also opposed the UK move. A spokesperson for the ministry, Gao Feng, said the "discriminatory" ban on Huawei has severely damaged China's investment confidence in Britain.

 

READ MORE: Ericsson warns Sweden's ban on rival Huawei is 'a risk for the economy'

 

Following the decision, the UK's digital minister, Oliver Dowden, said: "I am setting out a clear path for the complete removal of high-risk vendors from our 5G networks.

"This will be done through new and unprecedented powers to identify and ban telecoms equipment which poses a threat to our national security."

It is currently unclear how much the 2021 ban will cost the UK, but following the July about-turn, Dowden stated it would mean "a cumulative delay to 5G roll-out of two to three years and costs of up to 2 billion pounds ($2.67 billion)."

That figure is dwarfed by research from London-based analysis firm Assembly Research, which in a report published this September stated that the 2027 deadline would cost the UK economy 18.2 billion pounds ($23.6 billion).

Scandinavian telecoms companies Ericsson and Nokia have been awarded a large part of the Huawei replacements contracts. The UK has also pledged $333 million to help smaller companies and create a national telecoms laboratory to assist research in the sector. 

Source(s): Reuters